Real estate securitization drives speculative investing into highly leveraged markets. Put another way, unless interest rates are set to some absurdly high le

Real estate securitization drives speculative investing into highly leveraged markets. Put another way, unless interest rates are set to some absurdly high levels above 9.6% for 2 to 3 years... the gamblers will continue to externalize risk onto the taxpayers. Won't ever happen even after 2008, as wealthy lobbyists will not willingly choose to lose asset valuation. I now live in a city where a low-end house mortgage is 105% of average incomes. The people who understand negative amortization are already cashing out and leaving. My popcorn is ready... =)